I'm not sure what's more obnoxious, Canonical's massively unrealistic expectations or the media's insistence on following the story. Their plan was about as realistic as crowdfunding a fully functional Trek-style teleporter. At best, they got a list of names to market to. Hopefully, it's valuable enough to offset the fact that it also made them look like idiots with no business, market, or common sense. And the media actually treated it as some sort of tangible thing.

Sandwyrm:MrEricSir: Sorry subby, but that isn't how it works at all. The target amount has jack to do with whether or not they're successful -- what matters is whether or not people want what they're selling.

And by proving they have $10 million worth of gross revenue waiting for such an item, they have more leverage in discussions with other phone manufacturers.

Serious question: have there been ANY crowd funded projects that have totally lived up to expectations? I've backed a few Kickstarters that sounded good and of the ones that actually ended up delivering at best the results have been 'well that's pretty good, I guess.'

Sandwyrm:MrEricSir: Sorry subby, but that isn't how it works at all. The target amount has jack to do with whether or not they're successful -- what matters is whether or not people want what they're selling.

And by proving they have $10 million worth of gross revenue waiting for such an item, they have more leverage in discussions with other phone manufacturers.

Tactical loss but strategic victory.

I'm of the opinion that they didn't even expect to hit their target. They were working on the premise that if they did reach their target, great they have the money to actually go ahead with their pipe dream, if not, they've just got a whole shed load of free advertising for Ubuntu touch (and as you say, proof that there is interest in such a device)